Indiana Governor considers law that would impact sheriff pay

SOUTH BEND Â? Indiana sheriffs may earn thousands less if Governor Mitch Daniels signs a new law that limits how much they can be paid. St. Joseph County leaders say this clarifies the existing law.

The current law allows sheriffs to supplement their income with fees collected for overdue tax bills. The new law would change that by putting those fees into the county's main checking account. Sheriffs' could not be paid more than what a full-time county prosecutor earns.

St. Joseph County leaders say this bill will solve a big local dispute.

Since 2005, St. Joseph County and Sheriff Frank Cannarecci have not been able to reach a salary agreement.

So in January, the county council lowered his base pay but allowed him to keep the tax warrant fees he collects, about 70-thousand dollars last year. That move is expected to put his total pay in line with the county prosecutor.

But Cannarecci filed a lawsuit claiming his base salary must match the prosecutor's.

The sheriff's pay bill would eliminate this problem in the future.

"I'm glad to see the legislature has taken out the ambiguity," said St. Joseph County commissioner Steve Ross.

"The law would basically say the tax warrant money would come back to the county, and we would negotiate a contract. And that wouldn't be an issue," said St. Joseph County Council President Raphael Morton.

That would give the county thousands more in tax fees at a time when they're worried about decreases in property tax revenues.

"Because of the devastating effects of the circuit breaker law, we are looking at losing approximately $9.4 million out of a $68 million," said Morton. "So we don't have a choice but to look at the tax collection warrant."

Ross says the change still isn't good enough.

The county spends $76,000 collecting on tax warrants for the state, but the county only collects $70,000.

"Let the state collect. It's their debt," said Ross.

Even if Governor Mitch Daniels signs the bill into law, the sheriff will still be collecting money for the state. He's required to by state law.

Who gets that fee money and how the sheriff is paid wouldn't change until after the elections in 2010. So, it will not have an effect on sheriffs currently in office or provide any immediate financial relief for county budgets.

Sheriff Frank Cannarecci and Elkhart County Sheriff Mike Booker would not comment.